We start this week off on a slightly different tone than we usually do. We have been stable for a while now, but we kick off this week with some tensions and conflict in the Middle East.
What’s happening in the Middle East is a heck of a war. It started with Israel attacking Iran. Iran, I think, was caught off-guard, as Iran had scheduled talks with the US this weekend over their nuclear weapons. In return, Israel was also surprised by the swift retaliation of Iran.
In the middle, we sit with Donald Trump, who says that he wants peace and still wants to have discussions, but the discussions didn’t take place on Sunday, as Iran pulled out.
We know that immediately after the first attack on Friday, oil jumped. It’s now trading around $75 a barrel. Shipping costs are rising due to the conflict, and it’s not over. Now, if your oil market reacts so viciously and we know that we had for months now seen a decline in our fuel prices the effect on cost of fuel in SA could be dramatic.